The story of Indian stock market index in the past ten trading sessions is nothing but “hope” rapidly followed by shell” shock”. The breezy roller-coaster ride that we had expected turned in to a scary hurtles downward. Out performer has suddenly turned into an underperformer.

 The massive sell off that began on November 3 continues with high level of volatility. The markets witnessed its one of longest losing streak after May. The tumble was very severe and deep. Today National Stock Exchange’s Nifty ended at 4765.55, up 54.75 points or 1.16 per cent. The index bounced back from intra-day low of 4610.60 to touch a high of 4733.

 Punters, fund managers and individual investors ask to them whether the recent sell off here to stay. It seems that the Indian stock markets have seen the top and in search of a bottom at least for the time being.

“India looks especially vulnerable to the downside. This market has had a good run higher and now shows signs of momentum loss. With five waves completed at multiple degrees, it’s time to step off the bull train in India, if not time to outright explore bearish opportunities.” Now, the right-hand side of the graph shows the massive selling that has taken place in the Nifty.)Source: Elliott International-www.elliottwave.com)

 A very interesting analysis is presented here below:(Click the graph )

The “mother of all carry trades” that Prof. Nouriel Roubini warned of recently is growing and threatening to cause a global implosion, the economist warned in a CNBC interview.

For the second time in as many weeks, Roubini cautioned that investors using cheap US dollars to embrace risk will quickly reverse course once the greenback strengthens.

Click CNBC Interview Discussing Carry Trades and Asset Bubbles by Nouriel Roubini 2009-11-04 12:09:53)Mother of all Carry Trades Faces an Inevitable Bust to get to know the ins and outs of What is carry trade bubble.

 Rogers, the investor who predicted the start of the commodities rally in 1999, said Nouriel Roubini is wrong about the threat of bubbles. However Rogers agreed with Roubini that the dollar’s decline was encouraging investors to buy more commodities and assets. The US currency has dropped 13% since the start of March against a trade-weighted basket of currencies. For full discussion on the subject click Roubini’s wrong on ‘bubbles’ in gold, emerging markets: Jim Rogers.

Move over Switzerland. The tiny state of Delaware beats the Alpine country in a contest for the most secretive financial jurisdiction, a tax justice rights group said.

The ranking is based on a composite of total offshore activity and measures such as whether a jurisdiction obtains beneficial ownership information about companies and the degree of cooperation in turning over requested financial information.

The survey of laws, practices and size of inflows in 60 jurisdictions listed top 10 secretive financial centers in the world. They are as follows: Click here for more details- World’s top 10 secretive financial centers.(Source: Text: Reuters, Tax Justice Network- (This article appeared in Economic Times-Slide shows)

“I regret to tell you that the recovery is liable to run out of steam and may even be followed by a ‘double dip,’ although I am not sure whether it will occur in 2010 or 2011,” said Billionaire investor George Soros in his recently delivered lecture in Budapest .

He also further highlighted that world financial system needs to be reinvented to prevent a repeat of the crisis. Also underlined the need for a new Bretton Woods conference to revise the IMF’s methods of operation and consider new rules to control capital movements.

 Soros said the total freedom of financial capital to move around globally has proved to be a source of instability and needs to be curbed, along with the “dangerous imbalances” caused by the dollar’s use as the dominant international currency.

 ”The dollar no longer enjoys the trust and confidence it once did, yet no other currency is in a position to take its place,” Soros said in his lecture.

He said China was expected to maintain capital controls but will establish bilateral clearing accounts with some countries, like Brazil, denominated in yuans. “This will diminish the status of the dollar as the international currency without replacing it,” he said. Soros added that the US banking system has to earn its way out of a hole, while in commercial real estate and leverage buyouts, the “bloodletting is yet to come.”

In the context of recent high volatility witnessed in the movement of global stock prices Soros’ point of view suggests, are gloomy days once again ahead for the stocks,commodity and asset prices?

The 2009 Legatum Prosperity Index published and compiled by the Legatum Institute, an independent policy, advocacy and advisory organization, ranked 104 countries which are home to 90 percent of the world’s population.

“The Legatum Prosperity Index is the world’s only global assessment of wealth and wellbeing; unlike other studies that rank countries by actual levels of wealth, life satisfaction or development, the Prosperity Index produces rankings based upon the very foundations of prosperity – those factors that help drive economic growth and produce happy citizens over the long term”.

For those who value their freedom of expression as much as health, wealth, and prosperity, then Finland is the place to be, with an index ranking the Nordic nation the best in the world. For additional information visit http://www.prosperity.com/